Andhra Pradesh’s Financial Condition in Grave Problems

Andhra Pradesh‘s Revenue Deficit once again reached alarming levels. Reports are emerging that the fiscal deficit has reached 7866 Crore this year already. It is estimated at just 415 Crore in the budget which means a 19 times more than the estimation.

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The Fiscal Deficit is also expected to increase up to 18000 Crore for this six months. The government is struggling to meet its day to day finances and is resorting to more loans. Central Government which had promised all sorts of help to the state is limiting itself to almost zero.

The state government is even spending its own money for the Center’s share of crucial projects and is waiting for the bills to get cleared. While the state is coming forward as such so that the projects are not stalled, the center is not keen on clearing the bills making the situation grave.